Swedish family empire H&M has been granted approval from the Indian Foreign Investment Promotion Board to launch its stores in the South Asian country, the government announced on Monday.

The 7.2 billion rupee (€85 million) investment will allow the fast-fashion giant to create a wholly-owned subsidiary in the country, where it has previously said it plans to open 50 stores.

In October, third-gen chief executive Karl-Johan Persson said the retailer’s summer collections had been particular well received in Asia. Its revenues for the first nine months of 2013 were SEK 92.1 billion (€10.4 billion) – a 4% increase on last year.

H&M opened its first stores in Asia in Hong Kong and Shanghai in 2007, followed by Japan in 2008 and South Korea in 2010.

In October it opened its first store, via franchise, in Indonesia, and last month announced will open its first store in the Philippines in 2014.

Fellow Swedish family empire Ikea was one of the first major foreign retailers granted approval by the Indian government for investment and said it planned to open 25 stores over the next 15 to 20 years.

In 2012, India changed its policies to allow foreign retailers own 100% of their Indian subsidiaries.